TEST BANK
Corporate Finance 13th Edition
By Stephen Ross, Randolph Westerfield,
Chapters 1 - 21, Complete
Versionf1 1
,Chapterf1
Studentfname:_f
MULTIPLEfCHOICEf-
fChoosefthefonefalternativefthatfbestfcompletesfthefstatementforfanswersfthefquestion.
1) Generally,famongfthosefwhofreportfdirectlyftofthe
areftheftreasurerfandfthefcontrollerfoffafcorporation.
A) boardfoffdirectors
B) chairpersonfoffthefboard
C) chieffexecutivefofficer
D) president
E) chiefffinancialfofficer
2) Aftypicalfchainfoffcommandfinfafcorporationfisfdescribedfbyfwhichfonefofftheffollowingfsta
tements?
A) Thefinformationfsystemsfmanagerfreportsftoftheftreasurer.
B) Thefcreditfmanagerfreportsftoftheftreasurer.
C) Thefcontrollerfreportsftofthefchieffexecutivefofficer.
D) Theftaxfmanagerfreportsftoftheftreasurer.
E) Thefcapitalfexpendituresfmanagerfreportsftofthefcontroller.
3) Answeringfwhichfonefofftheffollowingfquestionsfinvolvesfmakingfafcapitalfbudgetingfde
cision?
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, A) Howfmuchfdebtfshouldftheffirmfborrowffromfafparticularflender?
B) Shouldftheffirmfbuildfafnewfproductionffacility?
C) Shouldftheffirmfissuefnewfequityftofpayfforfitsfgrowthfgoals?
D) Howfmuchfinventoryfshouldftheffirmfkeepfonfhand?
E) Howfmuchfcreditfshouldftheffirmfextendftofafparticularfcustomer?
4) Whichfonefofftheffollowingfstatementsfisfaccurate?
A) Netfworkingfcapitalfequalsfcurrentfassetsfplusfcurrentfliabilities.
B) Currentfliabilitiesfarefdebtsfthatfmustfbefrepaidfinf18fmonthsforfless.
C) Currentfassetsfarefassetsfwithfshortflives,fsuchfasfaccountsfreceivable.
D) Long-termfdebtfisfdefinedfasfafresidualfclaimfonfaffirm’sfassets.
E) Tangiblefassetsfareffixedfassetsfsuchfasfpatents.
5) Amongftheftypicalfresponsibilitiesfoffthefcorporatefcontrollerfis:
A) capitalfexpendituresfmanagement.
B) cashfmanagement.
C) taxfreporting.
D) financialfplanning.
E) creditfmanagement.
6) f isftypicallyfthefresponsibilityfoffthefcorporateftreasurer.
A) Financialfplanning
B) Costfaccounting
C) Taxfreporting
D) Informationfsystems
E) Financialfaccounting
7) Affirm’s define(s)fitsfcapitalfstructure.
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, A) mixturefoffvariousftypesfoffproductionfequipment
B) investmentfselectionsfforfitsfexcessfcashfreserves
C) combinationfoffcashfandfcashfequivalents
D) combinationfoffaccountsfappearingfonfthefleftfsidefoffitsfbalancefsheet
E) proportionsfofffinancingffromfdebtfandfequity
8) Theffocusfoffshort-termffinancefisfon:
A) theftimingfoffcashfflows.
B) acquiringfandfsellingffixedfassets.
C) financingflong-termfprojects.
D) capitalfbudgeting.
E) issuingfadditionalfsharesfoffcommonfstock.
9) Netfworkingfcapitalfincludes:
A) copyrights.
B) manufacturingfequipment.
C) commonfstock.
D) long-termfdebt.
E) inventory.
10) f isfdefinedfasfplanningfandfmanagingfaffirm’sflong-termfassets.
A) Workingfcapitalfmanagement
B) Cashfmanagement
C) Costfaccountingfmanagement
D) Capitalfbudgeting
E) Capitalfstructurefmanagement
11) Anfamountftheffirmsfowes,fwhichfitfmustfrepayfwithinftwelvefmonths,fisfcalledfa(n):
Versionf1 4
Corporate Finance 13th Edition
By Stephen Ross, Randolph Westerfield,
Chapters 1 - 21, Complete
Versionf1 1
,Chapterf1
Studentfname:_f
MULTIPLEfCHOICEf-
fChoosefthefonefalternativefthatfbestfcompletesfthefstatementforfanswersfthefquestion.
1) Generally,famongfthosefwhofreportfdirectlyftofthe
areftheftreasurerfandfthefcontrollerfoffafcorporation.
A) boardfoffdirectors
B) chairpersonfoffthefboard
C) chieffexecutivefofficer
D) president
E) chiefffinancialfofficer
2) Aftypicalfchainfoffcommandfinfafcorporationfisfdescribedfbyfwhichfonefofftheffollowingfsta
tements?
A) Thefinformationfsystemsfmanagerfreportsftoftheftreasurer.
B) Thefcreditfmanagerfreportsftoftheftreasurer.
C) Thefcontrollerfreportsftofthefchieffexecutivefofficer.
D) Theftaxfmanagerfreportsftoftheftreasurer.
E) Thefcapitalfexpendituresfmanagerfreportsftofthefcontroller.
3) Answeringfwhichfonefofftheffollowingfquestionsfinvolvesfmakingfafcapitalfbudgetingfde
cision?
Versionf1 2
, A) Howfmuchfdebtfshouldftheffirmfborrowffromfafparticularflender?
B) Shouldftheffirmfbuildfafnewfproductionffacility?
C) Shouldftheffirmfissuefnewfequityftofpayfforfitsfgrowthfgoals?
D) Howfmuchfinventoryfshouldftheffirmfkeepfonfhand?
E) Howfmuchfcreditfshouldftheffirmfextendftofafparticularfcustomer?
4) Whichfonefofftheffollowingfstatementsfisfaccurate?
A) Netfworkingfcapitalfequalsfcurrentfassetsfplusfcurrentfliabilities.
B) Currentfliabilitiesfarefdebtsfthatfmustfbefrepaidfinf18fmonthsforfless.
C) Currentfassetsfarefassetsfwithfshortflives,fsuchfasfaccountsfreceivable.
D) Long-termfdebtfisfdefinedfasfafresidualfclaimfonfaffirm’sfassets.
E) Tangiblefassetsfareffixedfassetsfsuchfasfpatents.
5) Amongftheftypicalfresponsibilitiesfoffthefcorporatefcontrollerfis:
A) capitalfexpendituresfmanagement.
B) cashfmanagement.
C) taxfreporting.
D) financialfplanning.
E) creditfmanagement.
6) f isftypicallyfthefresponsibilityfoffthefcorporateftreasurer.
A) Financialfplanning
B) Costfaccounting
C) Taxfreporting
D) Informationfsystems
E) Financialfaccounting
7) Affirm’s define(s)fitsfcapitalfstructure.
Versionf1 3
, A) mixturefoffvariousftypesfoffproductionfequipment
B) investmentfselectionsfforfitsfexcessfcashfreserves
C) combinationfoffcashfandfcashfequivalents
D) combinationfoffaccountsfappearingfonfthefleftfsidefoffitsfbalancefsheet
E) proportionsfofffinancingffromfdebtfandfequity
8) Theffocusfoffshort-termffinancefisfon:
A) theftimingfoffcashfflows.
B) acquiringfandfsellingffixedfassets.
C) financingflong-termfprojects.
D) capitalfbudgeting.
E) issuingfadditionalfsharesfoffcommonfstock.
9) Netfworkingfcapitalfincludes:
A) copyrights.
B) manufacturingfequipment.
C) commonfstock.
D) long-termfdebt.
E) inventory.
10) f isfdefinedfasfplanningfandfmanagingfaffirm’sflong-termfassets.
A) Workingfcapitalfmanagement
B) Cashfmanagement
C) Costfaccountingfmanagement
D) Capitalfbudgeting
E) Capitalfstructurefmanagement
11) Anfamountftheffirmsfowes,fwhichfitfmustfrepayfwithinftwelvefmonths,fisfcalledfa(n):
Versionf1 4
